What Changes from April 1st
The change is radical and simple. Every rent payment must be made via bank transfer or standing order. Cash, which for decades was the most common payment method for thousands of Greek tenants, will no longer be accepted.
This change was initially scheduled for January 1, 2026, but was postponed with an amendment to give more time for landlords and tenants to adapt.
What Landlords Must Do
Every property owner who rents out a property must
Declare their IBAN to AADE
Inform their tenants about the bank account where the rent should be paid
Ensure that all lease agreements include the bank details
What Tenants Must Do
For tenants, the change means
No cash payments from April 1, 2026
Mandatory use of a bank account for rent payments
Ability to create a standing order for automatic monthly payment
Why is the measure being implemented;
The main goal of the change is to enhance transparency in the rental market. For years, cash payments allowed some landlords to underreport their actual income from rentals, resulting in tax evasion.
With mandatory bank payments
Every transaction is recorded electronically
AADE can cross-check rental income with tax declarations
Reduces tax evasion in the real estate sector
Creates a fairer tax environment
What is planned for violations
Although the measure comes into effect on April 1st, the details regarding sanctions and fines will be determined by ministerial decisions and circulars expected to follow in the coming months.
This means that while the obligation is clear, its implementation and the consequences of non-compliance will be clarified gradually.
Additional measures
Alongside the mandatory bank payment, discussions are underway to introduce tax incentives for tenants who comply with the new framework. Although no specific measures have been announced, proposals include
Tax deductions for tenants who pay via bank
Enhancement of the rent refund program
Additional benefits for young people and low-income families
However, the main measure remains mandatory bank payment, regardless of any incentives.
How does it relate to changes in rental taxation?
The reform of rental payments is combined with changes in the income tax brackets that will take effect from the 2026 tax year
€0–€12,000: 15%
€12,001–€24,000: 25% (new scale)
€24,001–€35,000: 35%
Over €35,000: 45%
The new scale aims to create an incentive for declaring actual incomes, as it reduces the tax for middle-income earners from rental income.
What it means for the market;
The measure is expected to have multiple impacts.
Advantages
Increased transparency and fairness
Better protection for tenants through electronic documentation
Increased tax revenue for the state
Challenges
Mandatory adjustment for thousands of landlords who had not fully declared their income
Possible pressure to increase rents from landlords who will be taxed for the first time
Need for a bank account for all tenants
Preparation for the transition
With less than three months until April 1st, landlords and tenants must begin the necessary actions
For landlords
Declare your IBAN to AADE immediately
Inform your tenants in writing
Update rental agreements
For tenants
Ensure you have an active bank account
Set up standing order for rent payment
Request the bank details from the landlord
April 1, 2026, marks the end of an era in the Greek real estate market. The transition from cash to digital payment is inevitable and essential for a more transparent, fair, and modern rental sector.
